Government of
Meghalaya
Budget Speech

1984 – 85

By

Shri D. Dethwelson
Lapang

Finance Minister,
Meghalaya

21st March,
1984

MR. SPEAKER, SIR,

I rise to present the annual financial
statement of Meghalaya d for the year 1984-85.

National Economic Scene

2. The performance of the national economy in 1983-84
has been quite satisfactory. The year saw a strong economic recovery led
by the agricultural sector which showed recovered led by the
agricultural sector which showed robust growth. Production of foodgrains
may exceed the target of 142 million tones which is well over the
earlier peak level of 133 million tonnes in 1981-82. This achievement
has been made possible due to concerted and timely efforts to provide
critical farm inputs. Indian agriculture has now become more resilient
and can better withstand adverse weather conditions. The
performance of the industrial sector has been somewhat mixed. While this
sector as a whole is likely to show a higher growth than in the previous
year, Indian industry continues to be plagued by under-utilisation of
capacity. Generation of power is likely to increase by about 6 percent
but is still inadequate to meet increasing industrial demand. The gross
national product has achieved a better growth rate of 6 to 7 percent in
1983-84. Mainly on account of the success achieved in increasing
production of crude oil from 10.5 million tones in 1980-81 to over 26
million tonnes in three years, the balance of payments position has
improved very substantially and there was an increase in foreign
exchange reserves. In view of this, the Government of India have decided
to forgo part of the loan due from the International Monetary Fund.
Despite such overall achievements, a major area of concern remains the
behaviour of prices which came under pressure almost throughout
the year. The wholesale price index had increased by 9.7 percent upto
the middle of January, 1984 compared to 5.2 percent in the same period
of the previous year. The annual rate of inflation as measured by the
wholesale price index has increased to 10.7 percent and the rate as
measured by the consumer price index in December, 1983 was 12.5
percent. After the middle of January, 1984 there was a marginal decline
in the wholesale price index but there has not been an immediate and
adequate response to wholesale price trends at the retail level.

Meghalaya Economic Scene

3. The trends at the national level were broadly
reflected in the State also. The "quick estimates" place the
State domestic product of Meghalaya at Rs. 182.47 crores in 1982-83
at current prices recording an increase of 8.3 percent over that
in 1980-81. Forest, mining and quarrying and construction
activities have made substantial contributions for this increase.
The per capita income of the State is estimated at Rs.1,308 for 1982-83
as against Rs.1,236 in 1981-82. Agriculture has been making steady
progress and the index of agricultural production (base triennium ending
1972-73 = 100) has moved to 142 in 1982-83 as compared to 132 in
1980-81. According to present estimates, the production of foodgrains
during the current agricultural year is expected to be around
164,000 tonnes as against 154,000 tonnes in 1982-83. The
performance would have been better but for unusual rains in some parts
of the State which adversely affected the paddy crop. Production of jute
and mesta has shown an increase and was estimated at about 75,000 bales
as against 63,800 bales in 1982-83. Cotton production has also recorded
an improvement of about 10 percent in the current year. Production of
potatoes in 1983-84 is estimated at 1,46,800 tonnes as against
1,42,200 tonnes in 1982-83. In industry and minerals, the current
year has witnessed favourable trends. The manufacture of cement in 1983
had reached 97,190 tonnes as compared to 86,800 tonnes in 1982.
Generation of electricity at about 410 million kilowatts has maintained
the levels of the preceding two years. Production of limestone rose by
over 20 percent reaching 1.88 lakh tonnes in 1983 as against 1.56 lakh
tonnes in 1982. Coal production has totaled over 7 lakh tonnes upto
November, 1983, as against 5.48 lakh tonnes in 1982. As regards prices,
except in the case of a few items, wholesale prices ruled at
higher levels than in the previous year, both in the urban and rural
areas in respect of essential commodities and primary produce.
Commodities like pulses and sugar, however, recorded a lower
average price in 1983 compared to 1982. Prices of rice have tended to be
steady in the later part of 1983. The trends of wholesale prices
were reflected on retail prices also and these prices in 1983 were
higher than in 1982.

Eighth Finance Commission

4. As the hon'ble Members are aware, the Chairman
and Members of the Eighth Finance Commission held detailed discussions
with the Chief Minister, Ministers and representatives of the State
Government as also non-officials and various organisations on 30th
June and 1st July, 1983. During these discussions, the State
Government have highlighted the need for special attention
to the small and back-ward States particularly in the north-eastern
region, and requested the Commission to ensure that its recommendations
sub serve effectively the nationally accepted policy of reduction of
regional imbalances. In particular, we have brought out the fact
that the recommendations of the Seventh Commission had resulted in a
number of States getting a surplus on revenue account while tribal
and hill States were left with a comfortable surplus during the five
year period commencing from 1st April, 1984. The State Government have
also pressed for adequate funds for upgradation of the standards of
administration in the field of police, general administration, jail
administration, administration of justice, construction of treasury
buildings, assistance to civil defence and home guards organisations and
modernisation of fire services and improvement of certain
infrastructural facilities. The Commission has also been asked to make
adequate funds available for assisting the District Councils which have
a crucial role to play in preservation of the distinct identity of the
tribal people. Besides, funds have also been sought to meet the cost of
improvement of emoluments of the State employees.

The Commission is still to submit its final report to
the Union Government. It has, however, submitted an interim report
suggesting that for the year 1984-85, the existing arrangements for
sharing of divisible taxes may continue provisionally. In the interim
report, Meghalaya has been awarded a sum of Rs.40.27 crores as
grant-in-aid under Art. 275 (1) of the Constitution for 1984-85.
The grant-in-aid recommended by the earlier Commission for 1983-84
was Rs.20.05 crores.

Sixth Plan and Annual Plan for 1984-85

5. The Sixth plan outlay of Meghalaya was originally
fixed at Rs.235 crores in 1980. The actual allocation for the five year
period of the Sixth Plan, however, has amounted to Rs.263.88 crores.

For the annual plan of 1984-85, the last year of the
Sixth Plan, the outlay approved for the State is Rs.65 crores
representing an increase of more than 15 percent over the current year's
outlay of Rs.56.32 crores. The annual plan fro the next year lays
priority on development of communications, drinking water supply,
power, watershed management programmes, development of areas on the
international border adjoining Bangladesh and for rural and social
services. The integrated rural development and national rural employment
programmes have been accorded high priority. The plan also emphasizes
generation of employment and economic rejuvenation of the rural areas of
the State through ongoing and some new schemes. The State Government are
keenly aware of the need for effective implementation of various
development programmes and proper utilisation of plan funds.
Monitoring cells have been set up in a number of departments and reviews
at various levels are conducted regularly to watch the implementation of
plan schemes. Government area also conscious of the problems retarding
the pace of development and are taking steps to tide over the
difficulties.

6. A number of measures have been taken to ensure
smooth and time-bound implementation of the programme for achieving the
various targets set at the State level for fulfilling the objectives of
the 20 Point Programme. A Cabinet sub-committee constituted
for regular monitoring of the implementation of the programmes and for
providing direction and guidance to the administrative machinery has
held a number of review meetings. Implementation of the new
20-Point Programme is also reviewed at various official levels
regularly. The performance of the State during 1982-83 in many cases was
fairly satisfactory. In those sectors where it fell below
expectation, remedial measures have been taken for better results in
future. The outlays for the 20- Point Programme are included in the
overall State plan outlay where a sizeable part accounts for this
programmes.

7. A pilot programme for village development has been
launched in the current year and fifteen villages, one in each
subdivision, have been selected. This has been done keeping in view the
need for integrating the development efforts in the villages, since the
life of the peasant is not cut into segments in the way official
activities tend to be. It also seeks to promote active involvement of
all sections of the people in the process of development. A
socio-economic survey of the selected villages has been conducted with a
view to locating gaps so as to provide the required inputs for
their all-round development. Schemes and programmes for development of
these villages are under preparation on the basis of this survey. These
are expected to serve as models for the purpose of demonstration when
this scheme is extended to other villages in the near future.

8. The State has potential for harnessing renewable
energy sources. A programme for micro-power generation with the help of
photovoltaic conversion, micro-hydel, wind and solar energy and bio-gas
utilisation has been included in the next year's plan. Power generated
through these micro-hydel stations is intended to be used for various
economic activities in the rural areas such as rice pounding, grinding
and oil processing, apart from domestic use. The scope for using these
units for running small ropeways along mountain slopes will also
be explored. There small pumps based on solar energy for lifting water
have been installed in the current year under the N.E.C. plan as pilot
schemes

9. Besides, the State plan outlay of Rs.65 crores, an
amount of Rs.7.05 crores has also been provided for the next year for
the regional schemes as also schemes of economic importance of a pilot
nature in Meghalaya under the N.E.C. programmes. These include
schemes for pilot project for water harvesting, pilot demonstration for
rejuvenating citrus orchards, model schemes for watershed management in
selected areas and aerial sowing of seed for afforestation and jhum fire
control.

10. The Meghalaya State Planning board, has been
reconstituted in 1983. The Chief Executive Members of the District
Councils continue to be members of the State Planning Board, apart from
some other non-official and official members.

The State Planning
Board has set up six units for different development sectors, each under
the Chairmanship of a non-official member which have been charged
with the responsibility for examining new schemes, reviewing the
progress of implementation as also for undertaking spot verification and
site inspection of the schemes.

11. As in the previous years, hon'ble Members have
been furnished with a copy of the supplement to the budget speech which
contains a detailed review of the implementation of the development
schemes so far and programmes for 1984-85. I would, however, like to
bring out some of the important features in this regard.

Agriculture and allied sectors

12. In the agricultural sector, the objectives are to
increase foodgrains production for obtaining self-sufficiency in
the near future and to enlarge the area and production of various cash
crops and horticultural crops in order to improve the economy of the
peasantry. The strategy for achieving these objectives is through larger
coverage under high-yielding and improved varieties of seeds, more
extensive application of fertilisers and pesticides, strengthening of
the extension machinery, enlarging the area under irrigation and
multiple cropping in irrigated areas. Supply of planting materials at
subsidised rates, demonstrations of improved methods of
cultivation, maintenance of Government nurseries and orchards, citrus
rejuvenation and introduction of new crops including study of local
fruits and greater stress on nut crops and tuber crops are the measures
taken for giving a fillip to horticulture. The target of foodgrains
production for the next year is 1.84 lakh tonnes. As regards potato, the
target for production for 1984-85 has been fixed at 1.60 lakh tonnes as
against the anticipated achievement of about 1.47 lakh tonnes during
1983-84. In order to make fertilisers easily available to the farmers
and in time, a large number of sales points have been opened. In
addition to the existing 529 sales points, 30 more will be opened at
various sub-centres during the year. the Meghalaya Co-operative
Marketing and Consumers' Federation Limited has been given the
sole authority to lift the quota of fertilisers for the State for
distribution through a chain of wholesalers and retailers. For ensuring
uniformity in the price level, provision for transport subsidy to all
wholesale centres will continue. A number of sub-centres to meet the
requirement of major agricultural implements have been established
in various parts of the State. Plant protection task forces have also
been constituted in all the districts in order to take timely measures
to combat pest attacks.

13. In the field of minor irrigation, a number of
schemes have been taken to cover approximately an area of 5,000
hectares in the current year to augment the coverage of 29,000
hectares created till the end of 1982-83. The target of 1984-85 is to
cover an additional area of 4,000 hectares. The department is taking
steps to complete ongoing projects for 1984-85 and also to take up a few
new projects. The next year's plan outlay for minor irrigation is Rs.159
lakhs showing an increase of Rs.34 lakhs over the provision in the
current year.

14. As soil is a crucial life-supporting system the
importance of soil conservation cannot be over-emphasised. The objective
of the Soil Conservation department is to take up programmes of
development which aim at utilisation of natural resources in consonance
with conservation principles and practices.

Jhumming continues to
be a major problem in the State affecting its ecology and environment.
The department has been following an integrated approach in tackling
this problem. This includes provision of terraces, timely supply of
seeds and arrangement for irrigation. During the next year, it is
proposed to provide to jhummia families 20 hectares of irrigated land
for permanent food crop cultivation and 122 hectares for cash-crop
plantation such as coffee, rubber, black pepper and horticultural crops.
Watershed management programmes based on watershed approach has received
special attention. It aims at integration of various soil and water
conservation measures taken up on sum or micro-watershed basis so
as to effect maximum utilisation and conservation of land, water and
vegetative resources. During 1984-85 it is proposed to take up at least
one sub-watershed for each district. This will provide permanent
cultivable land of about 500 hectares besides 95 hectares under
horticultural and cash crop plantation. An afforestation programme to
cover 1,050 hectares will also be implemented. The expanding
activities of the department have made it necessary to strengthen the
infrastructure of trained personnel. Various training programmes are
being continued. The programme of expansion of the existing training
institute at Byrnihat is progressing with financial assistance from the
N.E.C.

15. The main objective of the Animal Husbandry
department is to diversify the economy of small and marginal
farmers by assisting them to take up animal husbandry and dairy
husbandry practices on scientific lines as also to increase supply of
protective food such as milk, meat and eggs. The outlay under this
sector for the next year is Rs.115 lakhs as against the current year's
outlay of Rs.96 lakhs. The existing cattle farms will continue to meet
the requirement for breeding stock. The two intensive cattle development
projects at Shillong and Tura will take up artificial insemination in
potential milk shed and other areas in order to achieve the target of
18,000 cattle to be inseminated during 1984-85. Poultry development
continues to receive attention and duckery a farm will be established in
Garo Hills. It is also proposed to strengthen the existing pig
farms. Effective measures are being taken to check diseases. A revised
project estimate for the centrally sponsored dairy project is being
prepared by the National Dairy Development Board.

16. Despite considerable potential for development of
fisheries, the programmes for fishery development are yet to pick up the
required momentum. In additional to the continuing schemes, a new scheme
of hatcheries is being included for implementation during the next year.
The scheme of paddy-cum-fish culture will be intensified. An outlay of
Rs.35 lakhs has been earmarked under this sector for 1984-85.

17. Forests play a very important role in maintaining
the eco-system. Large scale and indiscriminate deforestation is posing a
serious problem to the State. The social forestry scheme which seeks to
meet the local needs of the villagers can assist in effective
conservation of forests. The programme for large scale afforestation of
barren hills is continuing. Afforestation of the catchment areas of
Kopili hydel project is being undertaken. The target for afforestation
for the State fixed under the 20-Point Programme has been fully
achieved. The area development programme in villages surrounding
the proposed Tura ridge forest reserve is being implemented and a sum of
Rs.20 lakhs has been earmarked for this programme in 1984-85. Management
plans for two wild life sanctuaries created in the State have been
submitted to the Government of India and these have been
accepted for financing on a 50:50 basis for non-recurring work needed
for improvement. The out lay for the Forests sector next year is
Rs.142 lakhs as against the provision of Rs.110 lakhs for 1983-84

Rural Development

18. The Community Development movement has a strong
appeal to Meghalaya, as this is based on the tradition and capacity of
the people in the rural areas to help themselves in a democratic manner
and to bring about social justice. Apart from the general community
development programme and special nutrition programme, the
Community Development department is also implementing the integrated
rural development agencies. In addition, the rural landless guarantee
programme and small and marginal farmers programme are also being
introduced in Meghalaya. At present, there are two district rural
development agencies and the proposal to establish three more has been
approved so that each administrative district can be served by one
agency. The total State plan outlay in this sector for the next year is
Rs.281 lakhs.

Border Area and Backward area
Development

19. The rehabilitation of the economy of the border
areas which was seriously disrupted on account of partition has been
given great emphasis in the developmental efforts of Meghalaya. Sizeable
sums have been earmarked for taking up special programmes in these areas
which will supplement the normal activities of various departments.
Development of road communications and improvement of marketing
facilities for the disposal of border produce form the main thrust of
this programme. Development of horticulture, animal husbandry and
sericulture and weaving are some of the other components. In order to
subsidies the transport cost of essential commodities to the
people in the border areas, a transport subsidy scheme is being
operated. MECOFED is implementing vigorously the scheme of
agro-custom hiring centres in these areas. The proposal for
establishment of a Border Area Development Corporation is under process.

During the next year, it is proposed to implement a
scheme for development of specially backward areas. A details
survey of villages to identify such areas in the State on
the basis of certain accepted indicators will be conducted and a
sum of Rs.15 lakhs has been set apart for the purpose.

Co-operation

20. The principles of co-operation are of special
relevance to a tribal State like ours where the emphasis is on community
participation and drawing strength through group effort. The
co-operative movement, however, is still to rise to its full potential
in Meghalaya. Co-operatives are active particularly in the
field of agricultural credit and marketing of agricultural and
farm produce. The Meghalaya Co-operative Apex Bank Limited
continues to receive liberal assistance and a scheme for blocking of
over dues and rehabilitation of weak central bank is under
implementation. Most of the reorganised co-operative societies have been
posted with full time paid and trained secretaries. The Meghalaya State
Co-operative Marketing and Consumers' Federation Limited is taking up a
larger programme for marketing of agricultural and forest produce
through effective market intervention. The primary co-operative
societies are being motivated and durable working linkage will be
established with the Federation. The MECOFED also continues its efforts
to become an effective agency for wholesale and retail distribution of
consumer articles. Steps have been taken to ensure expeditious
completion of all the godowns taken for construction. The
Meghalaya State Housing Financing Co-operative Society
Limited has made available housing loan facilities to 195
persons. During 1984-85, the society plans to undertake a more ambitious
loaning programme. The Trade Centre scheme will be given a new
orientation so as to make it more useful to the local youth for
providing self-employment in trade and business.

Flood Control and Medium Irrigation

21. The Public Works department has been
executing protection work to safeguard paddy fields as well as river
banks and villages for floods in the plains areas. An area of 850
hectares will be benefited through implementation of the schemes
under execution till now. During the next year it is proposed to cover
and additional area of 700 hectares. In respect of medium irrigation,
the Rongai Valley irrigation project is still awaiting clearance from
the Government of India.

Power

22. The State is rich in hydel and thermal resources
and has enormous potential for generation of electric power. The
Umiam-Umtru Stage IV hydro electric project with installed
capacity of 2X30 MW with Upper Khri diversion is under implementation.
The progress in execution of the scheme has been somewhat slow due to
delay in acquisition of land and other reasons. It is expected that this
will now gain momentum. The work relating to 132 KV single circuit
transmission line from Nangalbibra to Tura and associated sub-stations
is progressing well and will be completed next year. The 132 KV
system has been introduced in Garo Hills area after charging the
line from Shillong to Nangalbibra and a sub-station at Nangalbibra. The
detailed project report of Leishka hydro electric project will be ready
next year. For renovation and augmentation of the Shillong power supply
system, sizeable sums have been earmarked for the next year. In the
field of rural electrification, a total of 997 villages have been
electrified by the end of March, 1983. During the current year 195 more
villages are expected to be covered.

Industries and Minerals

23. At the instance of the State Government, the
Government of India have agreed to declare the East and West Khasi Hills
districts as "Special Region Districts" during the current
year. As such, all the five districts in Meghalaya are now eligible for
the subsidy scheme of the Government of India. The Industries department
is taking steps to enlarge and strengthen the entrepreneurial base in
the State so that it can take effective advantage of the various
concessions. The Meghalaya Industrial Development Corporation Limited
has been the principal agency for the development of large and medium
industries. The Corporation has built up operational readiness to
implement a mini cement project and a clay washery unit. These two
projects can create direct employment to 135 persons besides paving the
way for further down-stream projects. During the year, it
initiated action to implement 200 T.P.D. Lime project in Jaintia Hills,
financed by the North Eastern Council to cater to the demand of paper
projects in the region. Survey of three separate locations for various
operations connected with the Siju clinker project is being undertaken.
The coal linkage for the project has been established and the work
relating to experimental mining for limestone to determine the limestone
parameters has been entrusted to a consultant. An electronic unit for
the manufacture of tantalum capacitors has been set up in collaboration
with the Electronic Corporation of India Limited. Arrangements for
supply of machinery and technology for this unit have been finalised
with FIRADEX of France. The man-power training scheme where stipends are
awarded to students undertaking technical and professional studies in
recognised institutions is being continued. In the field of small
industries, the department is operating the scheme for capital subsidy
and transport subsidy. The district industries centres are taking off
gradually and the response to the new self-employment programme has been
encouraging. Two more district industries centres, one at Nongstoin and
the other at Williamnagar, are expected and the other at Williamnagar,
are expected to be established next year. A number of training
schemes are being operated by the department in trades such as
carpentry, blacksmithy, knitting, tailoring and embroidery. The Khadi
and Village Industries Board is rendering assistance to various
village industries. The Master Craftsman centre to train persons under
an able craftsman is continuing with a view to develop an organised base
for development of handicrafts.

24. Sericulture and handloom weaving have a vital
role to play in our State for uplifting the rural economy through
provision of gainful employment to about 27,000 persons. The sericulture
programmes include strengthening of seed farms, improvement of silkworm
seeds, extension work providing the required infrastructural
facilities to the rearers and training of technical personnel. The eri
seed grainage at Nongpoh is being strengthened for improving the quality
of seeds for supply to the entire north-eastern region. As regards
handloom weaving, local artisans are being trained in the weaving
training centres and weaving accessories are being supplied to selected
weavers. The intensive handloom project in Garo Hills is making
satisfactory progress. Documentation of traditional tribal designs is
proposed for production of quality cloth.

25. The Directorate of Mineral Resources is engaged
in the exploration of various mineral deposits in the State so as to
ascertain the feasibility of setting up mineral based industries.
Exploration is being conducted for coal in the Bapung coal field, for
limestone deposits in Lumshnong area and for clay, glass sands and low
grade sillimanite deposits in the various areas of the State. The
Meghalaya Mineral Development Corporation Limited is being
strengthened so that it can take up mining schemes for the various
projects such as mini cement plant and paper grade lime plant in Jaintia
Hills and the clay washery unit in East Garo Hills District.

Transport and Communication

26. As the State totally depends on road transport,
substantial outlays are being earmarked for development of road network
in the State. The State achieved a total road length of 4,876 Kms.
including 1,766 Kms, of surfaced road by the end of March, 1983. During
the current year, it is expected that 160 Kms. of new road construction
and 58 Kms. of improvement of the existing roads will be achieved. This
will mean that Meghalaya will have a road density of 22.45 Kms., per 100
sq. Kms., which is well below the all-India density. As such, investment
on road construction will continue to receive priority in the
Seventh Plan also. By the next year, it is proposed to achieve a total
road length of 5,201 Kms. including 1,831 Kms. of surfaced roads. The
emphasis in this sector is to complete the spillover schemes taken up
during the Fifth Plan as also the ongoing schemes started during
the Sixth Plan. A few new schemes will also be implemented.

27. In the field of road transport, the Meghalaya
Transport Corporation is covering 37 routes with a total road length of
3,877 Kms. the frequency of bus service between Shillong-Gauhati and
Shillong-Jowai has been increased. Some of the buses of the Corporation
are being utilised as city buses. The construction of a regional
workshop and central workshop is making good progress. The Corporation
is also taking steps to effect economy in expenditure and to
increase its revenues.

A survey has been
conducted for a ropeway in Garo Hills to be financed by the N.E.C.
The matter is being followed up so that the actual construction work
starts soon. A daily air service between Shillong and Calcutta has
commenced and steps are being taken to construct an airfield at Beljak
valley near Tura. The State Government have taken up with the Centre the
need for improvement of postal and tele-communication facilities and are
pressing for installation of micro-wave telephone exchange at Tura
and Williamnagar.

28. Tourism infrastructure in the State to meet
the requirements of tourists is under development. The
construction of the tourists, bungalow at Tura is nearing completion.
Three luxury coaches have been purchased for improving transport
facilities for tourists. The Meghalaya Tourism Development Corporation
is being strengthened and it is proposed to hand over the commercial
activities of the department to the Corporation.

Social and Community Services

29. In accordance with the national policy,
Government have been laying great stress on expansion and improvement
of primary and middle school education so as to achieve the
objective of universalisation of elementary education before long. The
term of management and control of the primary education Garo Hills
and Jaintia Hills districts assumed by the Governor has been
extended for a further period. This has resulted in a general
improvement in the standard of primary education in these districts as
also regular payment of salaries to the teachers. The Governor has
recently assumed the management and control of primary education in
Khasi Hills also. The problem of school drop-outs is being effectively
tackled and non-formal education programmes are being implemented. Under
this programme about 600 centres are functioning covering approximately
7,700 students to assist them to complete primary or middle school
stage. Under the UNICEF assistance programme, revised syllabus is being
introduced in some selected primary schools as a pilot project. The
programme of H.S.L.C. Examination of the Meghalaya Board of School
Education is being synchronized with the university examination
programme. Some primary and middle schools are being covered under the
UNICEF and NCERT sponsored Science Education Programme. The model text
books prepared by NCERT have been translated into Garo and Khasi
languages. In-service training of teachers in different subjects is
being conducted at all levels of school education. Science and
Mathematics teachers are being supplied with guide book and
supplementary reading materials prepared by the NCERT. The State Council
for Educational Research and Training has completed school mapping of
some blocks to identify the location of schools. The instructional and
administrative building of the Shillong Polytechnic is nearing
completion. The service of part-time teachers are being utilised in
Shillong Polytechnic so as to meet the shortage of qualified
teaching staff.

In the field of
sports, the construction of the sports complex in Shillong is
progressing well. A scheme to hold youth parliament competitions
in schools and colleges has been recently introduced in the State so as
to encourage young boys and girls to articulate their opinions in a
democratic manner and to promote among them tolerance for various
points of view. A separate Directorate of Sports is being
established.

30. The Health department has given priority to
preventive and primitive services and has emphasised the primary health
care approach for achieving the goal of health for all by the year 2,000
A.D. It is expected that by the end of the current financial year,
the State will be covered by 152 sub-centres, 29 primary health
centres and 7 subsidiary health centres. The programme for the next year
includes setting up of 95 sub-centres, 3 primary health centres, 11
subsidiary health centres and 3 upgraded primary health
centres. The village health guide scheme is showing encouraging results.
The three Civil Hospitals in the State are being
maintained with increased bed strength. The construction work in the
Civil Hospital at Tura has been geared up. The scheme for renovation and
expansion of the Pasteur Institute in Shillong is nearing completion. An
orthopedic wing has been opened in the Shillong Civil Hospital to
assist the handicapped. It is expected that Government of India will
soon start work on the Regional Institute of Medical Science at
Shillong which will provide facilities for specialised treatment in the
north-east.

31. Safe drinking water is a basic human need.
The success of various programmes in the field of health and social
welfare depends primarily on the availability of safe drinking
water. This programme is an important segment of the 20 Point Programme
of the Prime Minister. The Public Health Engineering department has
taken up a number of rural and urban water supply schemes and upto the
end of March, 1983 has covered 785 problem villages. The target for
1983-84 is to cover 415 villages and efforts are being made to achieve
this target. The coverage proposed for the next year is 483 villages.
The department has also launched an ambitious programme to explore the
ground water potential by sinking hand tube and deep tube wells. The
UNICEF has gifted two drilling rigs to the State. As regards urban
water supply, Jowai Phase I and II, Tura Phase I and Mawlai schemes have
been completed. The work relating to the Greater Shillong Water Supply
Phase I and Tura Phase II is in progress. A consultancy firm has been
engaged to prepare detailed design and estimates for the Shillong
sewerage scheme.

32. The Town and Country Planning department is
preparing and implementing development plans for towns, growth centres
and villages in the State so as to provide an appropriate framework for
orderly growth of our settlements. The plans for Shillong, Nongpoh,
Williamnagar and Mairang have been prepared. The centrally sponsored
scheme of integrated development of small and medium towns is being
implemented in Shillong. It is proposed to cover Tura and Jowai
also under this programme. Schemes for providing infrastructure and
services like roads, footpaths, sanitation, etc. in the fringe areas,
semi-urban areas and rural centres in close proximity to the towns are
also being undertaken. During the next year, it is proposed to intensify
activities on the environmental improvement of slum areas.

At present, greater
attention is being paid for protection and conservation of environment
and it is important that in consonance with the national policy,
development projects and schemes are implemented in such a manner as to
be in harmony with the environment. It is essential to motivate
the members of the public and to bring about greater awareness
among them regarding the need for ecology and conservation of
environment. It is proposed to establish a planning cell which will be
entrusted with the task of suggesting measures for protecting the
environment, for checking its degradation and to identify immediate
problems. The Pollution Board will be activated.

An amount of Rs.33
lakhs has been sanctioned to the Shillong Municipality for garbage
clearance, replacement of leaking pipes, augmenting water supply and
public sanitation. Tura Municipality is also being financially assisted
for carrying on its activities.

33. The Directorate of Housing is implementing
schemes for rural housing, various housing loans and rental housing.
While there is a substantial demand for the middle income group housing
scheme, the number of applications for the low income group scheme is
showing a decline. In order to attract more applicants under this
scheme, the loan ceiling has been raised to Rs.16,000. It has also been
provided that loan assistance up to Rs.10,000 can be made available for
improvement of old houses. It is expected that the response for the
scheme will be more encouraging in future. A State Housing Board is
being set up soon.

34. In the field of social welfare, the integrated
child development scheme is making good progress and 11 such projects
are now functioning. The important components of this scheme are special
nutrition programme for children below 6 years of age and
expectant and nursing mothers, health and nutrition education,
immunization of pregnant women and children, supply of safe
drinking water to project areas and non-formal pre-school education.
During the current year 31,465 children and 7,215 mothers will be
covered under the special nutrition programme in the project
areas. The coverage rate of immunization in the project areas will
be more than 75 percent of the total number of expectant mothers
and children of different age groups. Special attention is also being
given for supply of drinking water to the villages in the project areas.
Programme of literacy for adult women and assistance to voluntary
organisations are being continued. The old age pension scheme is being
implemented and more than 1,300 persons have benefited under this
programme. The Meghalaya State Social Welfare Advisory Board is also
being assisted for taking up welfare work. In order to reduce drudgery
among women and consumption of firewood, steps are being taken to
introduce more efficient stoves.

35. The developmental schemes and programmes in the
State require the services of technical personnel at various levels. The
Industrial Training Institutes are imparting training in various trades
and during the last five years, more than 230 trainees have passed out
from such institutes. General and and vocational guidance has been
imparted to over 2,400 persons during the year. The number of
job-seekers in the live register of the Employment Exchanges as in
September, 1983 was 10,466 many of whom were matriculates or general
degree holders.

36. Information and Public Relations offices have
been set up in all the district headquarters as also in Baghmara and
Nongpoh. At the State level, and information centre has been
established. A temporary recording studio of All India Radio has
been set up at Jowai to ease the problems faced by artists hailing from
Jaintia Hills. In order to involve the people more effectively in the
developmental activities, 39 rural integrated information centres have
been organised in various parts of the State. During the next year,
community viewing sets will be procured and supplied to these
centres.

General Services

37. The approved plan outlay for public works for the
next year is Rs.255 lakhs which includes a provision of Rs.25 lakhs for
the new Secretariat Complex. Most of the sub divisional headquarters in
the State are still to be provided with basic infrastructure in the form
of administrative and residential buildings. Substantial outlays have
been earmarked to meet this need. The progress of utilisation of the
Seventh Finance Commission award for administrative buildings has picked
up considerably during the current year and the provision is expected to
be spent in full residential accommodation for Government servants both
in Shillong and in the interior has been augmented. The branch press at
Tura has started functioning and the modernisation of the Government
Press at Shillong will be taken up soon. An expert has visited the
press and has submitted his report containing recommendations for such
modernisation. During the next year, a sum of Rs.9 lakhs has been
earmarked for construction of a multi-stories building at Shillong to be
carried out in a phased manner. Besides, a provision of Rs.5 lakhs has
been made for construction of staff quarters for the employees working
in the branch press at Tura.

District Councils

38. The District Councils are being assisted
for implementation of their development schemes and for construction of
buildings. The term of the Commission of Inquiry on Autonomous District
Administration has been extended upto 31st July, 1984. Another
commission was appointed to enquire and report about dislocation in the
management of primary education in Khasi Hills District Council which
has submitted its report. Government have taken action as per its
recommendations. Elections to reconstitute all the three District
Councils in the State were conducted successfully.

Elections

39., The electoral rolls of all the 60 constituencies
in the State forming segments of I-Shillong and 2-Tura Parliamentary
Constituencies have been revised with 1st January, 1984 as the
qualifying date.

Judicial Administration

40. A scheme for legal aid has been formulated by the
State Legal Aid Board and two district legal aid committees have
been established for its effective implementation. Three legal aid
camps were organised during the year where a number of pending cases
were settled. This scheme seeks to promote awareness among the people,
particularly in the rural areas, regarding their legal rights. A number
of judicial officers have been trained at the North Eastern Judicial
Officers' Training Institute.

Excise

41. In order to check the evil of illicit
distillation of liquor the enforcement staff of Excise department
has been strengthened. The Excise Rules have been amended for
streamlining excise administration.

Pay Revision Cell

42. As a measure for affording better relief to the
State Government employees, Government have substituted the formula for
dearness allowance recommended by the Meghalaya Pay Commission by a new
formula similar to that of the Central Government, with effect from 1st
October, 1983. This has been extended also to employees of aided
schools and colleges including primary schools under the District
Councils to whom the revised scales of pay of 1979 have been
extended. The formula also benefits the State Government
pensioners including family pension holders.

Revenue

43. The cadastral survey scheme is continuing with
the assistance of the District Councils. The Chief Ministers of Assam
and Meghalaya met at Shillong in May, 1983 to discuss the boundary
disputes between the two States and decided to constitute a joint
official committee to go into details of the problem and identify areas
of difference with a view to bringing about an amicable solution. The
joint committee has since submitted its report and the Chief Ministers
are expected to meet soon for taking further decisions. As regards the
international border with Bangladesh, the joint relay work of the
missing pillars and the work relating to reconstruction and repair of
missing and damaged pillars are in progress. A joint field inspection by
the Special Director of Land Records and Surveys, Meghalaya and
his Bangladeshi counterpart was held in December, 1983.

Civil Supplies

44. As in the rest of India, the increase in price
level in Meghalaya has been disquieting. The general increase in price
level has adversely affected the poorer sections and to mitigate their
hardship, the public distribution system has been streamlined and a
number of additional fair price shops have been opened so as to supply
essential commodities at reasonable rates. The scheme of transport
subsidy for supply of rice to the people in the border areas is
continuing. Supply position of foodgrains and other essential
commodities is at present satisfactory .The Meghalaya Scheduled Articles
(Display and Marketing of Prices) Order, 1975 is being strictly
enforced.

Police and Home Guards

45. Law and order situation in the State for
the year 1983-84 has remained under control on account of
the strict vigilance and timely action taken by the Government against
anti-social elements and the sense of responsibility and goodwill
demonstrated by the people. The morale of the Police force remains high
and Government are continuing to extend various amenities to policemen.
The plan outlay for police housing has shown a steep increase in recent
years. The Sixth Plan outlay fixed originally for Police housing was
Rs.1 crore but the actual expenditure for the three years ending on 31st
March, 1983 amounted to over Rs.90 lakhs and the likely expenditure for
the current year is Rs.1.50 crores and the outlay approved for the next
year is Rs.2 crores. This is in addition to the amount made available on
the basis of the recommendations of the Seventh Finance Commission. The
number of housing units for policemen has shown a sizeable increase but
in view of the rapid expansion of the force, more needs to be done. The
police outposts at Barapani and Pynursla were upgraded as full-fledged
police stations. The centrally sponsored schemes for modernisation of
the State Police force is being implemented, the wireless network has
been expanded and the vehicle strength of the police force has been
substantially augmented.

During the year,
more than 400 Civil Defence volunteers have been trained in warden
service, first-aid services, fire service etc., in the three Civil
Defence towns at Shillong, Tura and Jowai. Besides, a large number of
rural Home Guard Volunteers have also been imparted training. Six
companies of the border Wing Home Guards have been deployed in the
Indo-Bangladesh border under the B.S.F. for checking illegal
infiltration. A number of Home Guards have also been engaged for
guarding vital installations and sensitive organisations.

With a view to
tackling the problem of infiltration of foreigners into the State,
border patrolling has been intensified. A number of
watch-posts, patrol posts and check gates and passport check posts are
functioning in the State. Village defence parties are also into service
to assist the official agencies in detecting infiltration and in
checking border crimes. A check gate has been established at Byrnihat as
also a special squad for checking and detecting infiltrators. I would
appeal to all citizens in the State to extend their co-operation and
support to the Government in the discharge of this onerous
responsibility.

Jail Administration

46. The construction work of the jails at Tura,
Williamnagar and Jowai is in progress. It is also proposed to
convert gradually the existing custodial type of jails into institutions
with functional utility in order to reform and rehabilitate the inmates.

Statistics

47. The Directorate of Economics and Statistics is
carrying on its activities relating to the continuing schemes,
such as agricultural statistics, prices statistics, economic census,
census of State Government employees, analysis of the results of
crop cutting experiments, etc. The field work of the N.S.S. 38th Round
on Consumer Expenditure and Employment and Unemployment was
completed in 1983. A socio-economic study of the Biate community has
been started. The Directorate has designed the form for recording base
line information of the model villages and statistical staff were
engaged in collecting the information. For the next year it is proposed
to develop a suitable methodology for regular survey of the ginger crop.

48. Before I mention about the Budget estimates for
the next year, I would like to give a brief account of the actuals for
1982-83 and the revised estimates for 1983-84.

Actuals for 1982-83

49. The year 1982-83 opened with a negative cash
balance of Rs.633.97 lakhs. There was a total receipt of
Rs.57,966.74 lakhs and a total expenditure of Rs.57,478.29 lakhs
under all accounts resulting in a surplus of Rs.488.45 lakhs. Thus, the
negative opening cash balance of Rs.633.97 lakhs was reduced to
Rs.145.52 lakhs at the close of the year. The State Government however
helped Rs.400 lakhs in the Government of India treasury bills. Taking
that into account, the year virtually closed with a cash balance of
Rs.254.48 lakhs.

Revised estimates for 1983-84

50. According to the revised estimates for 1983-84,
receipts under all accounts including Rs.400 lakhs from the sale of
Treasury bills come to Rs.59,883.26 lakhs and expenditure under all
accounts come to Rs.59,852.18 lakhs resulting in surplus of Rs.31.08
lakhs. The anticipated surplus of Rs.31.08 lakhs during the year is
likely to reduce the opening negative cash balance of Rs.145.52 lakhs to
Rs.114.44 lakhs at the close of the year.

Budget estimates for 1984-85

51. The year 1984-85 has been estimated to open with
a negative cash balance of Rs.114.44 lakhs. The receipts on revenue
account and expenditure from revenue have been estimated at Rs.14,268.14
lakhs and Rs.11,066.14 lakhs respectively. There, will, thus be a
surplus of Rs.3,202.00 lakhs on revenue account.

Outside the revenue
account, the total estimated receipts and expenditure are Rs.50,656.49
lakhs and Rs.53,796.04 lakhs respectively resulting in a deficit of
Rs.3,139.55 lakhs. Thus, the over-all surplus during the year is
estimated to be of the order of Rs.62.45 lakhs. This will enable the
State Government to reduce the negative opening cash balance of
Rs.114.44 lakhs to Rs.51.99 lakhs at the close of the year.

52. I do not propose to bring any taxation measure to
wipe off this small deficit. Efforts will be made to cover this deficit
by better collection of the arrear dues of taxes, revenues and loans and
advances.

53. It is over twelve years since the people of these
hills were afforded the opportunity to develop and prosper
according to their genius when they embarked on the exciting adventure
of shaping their own destiny. The attainment of statehood marking
the fulfillment of political aspirations of the people can,
however, be meaningful only if it ushers in the era of economic and
social advancement. The last few years have witnessed Meghalaya making
impressive progress in various fields. The infrastructural sector
has become stronger, agricultural and allied activities have registered
notable growth, social services have become more extensive and
administration has been brought closer to the people. The State's
financial base is now wider than before. Despite these achievements we
have to go a long way before we redeem our pledge that every citizen in
the State should enjoy a high quality of life. We have to ensure
that the benefits of progress percolate to the poorest sections of the
society, particularly in the rural areas, to whom we owe a special
obligation. It is also essential that development proceeds in harmony
with our environment and we cherish and preserve the best values and
traditions of our society which have been build up over centuries. Our
tribal boys and girls should be actively involved in the development
programmes and sustained efforts are needed to build up an adequate
reservoir of local technical manpower. While assuring a fair and
just deal to all sections, we are committed to preserve and promote the
distinct identity of the indigenous scheduled tribes. Government is an
instrument which should not only articulate the aspirations and needs of
the people, but also translate them into reality.

The task ahead is
challenging and I appeal to all the hon'ble Members to extend their
co-operation to the official machinery so that we effectively realise
the common objectives, to which all of us are committed.

54. I now commend the Budget Estimates for
consideration and approval of the House. Pending detailed discussions on
the Budget proposals, I propose to move the House, in the first
instance, for sanctioning advance appropriations to enable the
Government to defray expenses for part of the next financial year.

JAI HIND.

ANNEXURE

THE FINANCIAL POSITION FOR THE YEAR 1984-85 WITH
CORRESPONDING
POSITION IN THE PREVIOUS YEARS.